Page 2, line 1, leave out "a person to the office of regulator" and insert "up to five persons including a chairman to constitute the Office of Regulator"

THE LORD CLEMENT-JONES
THE BARONESS BARKER

104*

Page 2, line 1, leave out "a person" and insert "up to five persons, including a chairman"

THE EARL HOWE
THE BARONESS NOAKES

105*

Leave out Clause 2

Schedule 2

THE LORD WARNER

106*

Page 115, line 6, leave out from beginning to end of line 15 and insert

"Membership

(1)

The regulator is to consist of a number of members (but not more than 5) appointed by the Secretary of State.

(2)

One of the members is to be appointed as chairman and another as deputy chairman.

(3)

The deputy chairman need not be appointed before the end of the period of six months beginning with the establishment of the regulator.

Tenure of office

(1)

A person is to hold and vacate office as a member in accordance with the terms of his appointment.

(2)

But

(a)

he may at any time resign his office by giving notice to the Secretary of State,

(b)

the Secretary of State may at any time remove him from office on the ground of incapacity or misbehaviour.

(3)

A person is not to be appointed as a member for a period of more than four years.

(4)

A person who ceases to be a member is eligible for re-appointment."

THE EARL HOWE
THE BARONESS NOAKES

107

Page 115, line 7, leave out from "period" to end of line 8 and insert "of five years and he may seek re-appointment"

THE LORD WARNER

108*

Page 115, line 17, leave out from "The" to end of line and insert "regulator is to pay the chairman"

109*

Page 115, line 20, at end insert

"( )

The regulator is to pay to the members (other than the chairman) such travelling and other allowances as the Secretary of State may determine."

110*

Page 115, line 21, leave out "regulator" and insert "chairman"

111*

Page 115, line 22, leave out second "Secretary of State" and insert "regulator"

112*

Page 115, line 29, leave out "appoint" and insert "employ"

113*

Page 115, line 31, leave out sub-paragraph (2) and insert

"(2)

The terms may include

(a)

provision for the payment of pensions, gratuities or allowances to, or in respect of, any person who has ceased to be a member of the staff, or

(b)

provision for contributions or payments towards such provision.

Superannuation"

114*

Page 115, line 38, leave out "regulator" and insert "chairman or as a member of the staff"

115*

Page 115, line 40, leave out "regulator" and insert "chairman or employment as a member of the staff"

116*

Page 116, line 3, at end insert "or 3(2)"

117*

Page 116, line 3, at end insert

"Procedure

(1)

The regulator may regulate its own procedure and make any arrangements it considers appropriate for the discharge of its functions.

(2)

The validity of any act of the regulator is not affected by any vacancy among the members or by any defect in the appointment of any member."

118*

Page 116, line 6, leave out "a member of his staff" and insert

"(a)

the chairman or deputy chairman or any committee,

(b)

any member of the staff,"

119*

Page 116, line 7, at end insert

"General powers

(1)

The regulator may do anything which appears to it to be necessary or desirable for the purposes of or in connection with the exercise of its functions.

(2)

That includes in particular

(a)

acquiring and disposing of property,

(b)

entering into contracts,

(c)

accepting gifts of property,

and co-operating with other public authorities.

Specific powers

(1)

The regulator may with the consent of the Secretary of State borrow money temporarily by way of overdraft, but may not otherwise borrow money.

(2)

The regulator may conduct, commission or assist the conduct of research."

THE EARL HOWE
THE BARONESS NOAKES

120

Page 116, line 10, at end insert

"( )

The regulator shall report each year in his annual report whether the contributions paid by the Secretary of State under paragraph 5 allow him to discharge his functions adequately."

THE LORD WARNER

121*

Page 116, line 13, leave out "he" and insert "it"

122*

Page 116, line 13, leave out "his" and insert "its"

123*

Page 116, line 14, at end insert "and,

(b)

prepare a report which provides an overall summary of accounts sent to it by NHS foundation trusts during the year."

124*

Page 116, line 16, leave out "the" and insert "each"

125*

Page 116, line 17, leave out "he" and insert "it"

126*

Page 116, line 17, leave out "it" and insert "them"

THE EARL HOWE
THE BARONESS NOAKES

127

Page 116, line 17, at end insert

"( )

The regulator must ensure that adequate information about all of the NHS foundation trusts is publicly available, including the preparation and publication of a summarised account for all NHS foundation trusts for each financial year."

THE LORD WARNER

128*

Page 116, line 20, at end insert

"6A (1) The regulator must keep accounts in such form as the Secretary of State may direct.

(2)

The regulator must prepare in respect of each financial year annual accounts in such form as the Secretary of State may direct.

(3)

The regulator must send copies of the annual accounts to the Secretary of State and the Comptroller and Auditor General within such period after the end of the financial year to which the accounts relate as the Secretary of State may direct.

(4)

The Comptroller and Auditor General must examine, certify and report on the annual accounts and must lay copies of them and of his report before Parliament."

129*

Page 116, line 21, at beginning insert "In paragraph 6 and this paragraph"

130*

Page 116, line 22, leave out from second "the" to first "and" in line 23 and insert "establishment of the regulator"

131*

Page 116, line 28, leave out "his" and insert "its"

132*

Page 116, line 30, leave out "his signature" and insert "the signature of the chairman or deputy chairman or of any member of the staff who has been authorised by the regulator (whether generally or specifically) for that purpose"

133*

Page 116, line 32, leave out "his" and insert "its"

134*

Page 116, line 33, at end insert

"General

(1)

The regulator is not to be regarded as the servant or agent of the Crown or as enjoying any status, immunity or privilege of the Crown.

(2)

The regulator's property is not to be regarded as property of, or property held on behalf of, the Crown.

(3)

The regulator must exercise its functions effectively, efficiently and economically."

135*

Page 116, line 38, leave out "office of the"

136*

Page 117, line 2, at beginning insert "Chairman or other member of the"

137*

Page 117, line 6, at beginning insert "Chairman or other member of the"

THE EARL HOWE
THE BARONESS NOAKES

138*

Leave out Schedule 2

Clause 3

THE LORD WARNER

139*

Page 2, line 4, leave out "his" and insert "its"

THE EARL HOWE
THE BARONESS NOAKES

140

Page 2, line 5, leave out "performance by the Secretary of State of the"

141

Page 2, line 5, after "duties" insert "laid on the Secretary of State"

142

Page 2, line 7, at end insert

"( )

In performing his duties under this Act, the regulator must have regard to such of the following as appear to him to be relevant in the circumstances

(a)

the principles under which regulatory activities should be transparent, accountable, proportionate, consistent and targeted only at cases where action is needed;

(b)

the different needs and interests of persons using NHS services and in particular of the different interests of children, and of those living in rural and urban areas; and

(c)

the principles set out in the compact between the Government and the voluntary sector and the codes of practice set out under it."

THE LORD CLEMENT-JONES
THE BARONESS BARKER

143*

Leave out Clause 3 and insert the following new Clause

"General duty of the regulator

The regulator must exercise his functions in a manner that

(a)

is consistent with the performance by the Secretary of State of the duties under sections 1, 3 and 51 of the National Health Service Act 1977 (c. 49) (duty as to health service and services generally and as to university clinical teaching and research),

(b)

is consistent with the principle of equality of access to NHS healthcare,

(c)

is consistent with the principle of universality of access to NHS healthcare, and

(d)

has regard to the impact of an NHS foundation trust on the local health economy."

THE EARL HOWE
THE BARONESS NOAKES

144*

Leave out Clause 3

After Clause 3

THE EARL HOWE
THE BARONESS NOAKES

145

Insert the following new Clause

"Appeals

The Secretary of State may provide in regulations that decisions of the regulator are to be subject to specified appeal or review mechanisms."